WAGES AND PRODUCTION

Evening Post, Volume CVIII, Issue 82, 3 October 1929, Page 5

WAGES AND PRODUCTION

(To tho Editor.)

Sir, —The Welfare League has a habit of making a statement, and when it is fairly and honestly beaten in regard to such statement it denies making it. Such tactics render it necessary to go back over ground that has already been covered, and places au undue tax on the space you so generously place at the disposal of correspondents to discuss questions of importance. In its last letter, dated 2fith September, the league denies saying that "economic value" was the market price as determined by the law of supply and dehiand. The following are the facts, aiwj on these facts I will allow the case to be judged without any comments from me:—

In a letter dated 10th September, the Welfare League used the following words: "To this end we suggest that the standard of labour costs should be on their economic value rather than on the assumed needs of the worker." On 13th September I asked how the Welfare League would assess the economic value of a given quantity of labour. To this the league replied in a letter dated 16th September, as follows:—"The value of labour in regard to quantity aud quality is regulated in genera] by the demand for it in relation to the supply. . . Its economic worth is determined by the market, just as material commodities are bought and sold." In a later letter from the league, dated 23rd September, the following paragraph appears:—"To say that the value of labour is determined by1 the market for it is but to state a plain fact, and is no reflection on' the worker who supplies it, whether you call it a commodity." The Welfare League has not answered tho question I submitted in niy last letter as to who is entitled to the marginal difference between the wealth produced from good land and land on the margin of production. It .suggests;, however, that it would be impossible to pay £70 or £S0 per acre for land and at the same time pay the workers employed on it on the basis of the full productivity of such land. This is au obvious fact, and herein lies the crux of the whole question. The workers are being underpaid, pot because of any shortcomings on their part, or because production is insufficient to allow of decent wages being paid, but because of tlie fact that a considerable part of the wealth created by labour goes to a privileged class who "toil not neither do they spin." The only reason why £70 or £80 per acre is paid for land is because there is an abundant supply of labour available at less than its economic value.

On a future occasion, if time.will permit aud space is available, I will deal further with this question and show how a system could be evolved that would give the workers the "economic value" of their labour.—l am, etc., A. PARLANE. 2nd October.

The Wellington District Band of Hope Union will hold its annual demonstration to-night in the Wesley (Taranaki btreet) School Hall. An attractive programme has been prepared, including action songs, playettes, and a banner display, me president of the union, the Eev. G.D. Faleonev, will preside, and will address the gathering.

Mesßrs. Silverstone and Co., auctioneers, ■will conduct a sale of furniture at their mart, 10.30 to-morrow. Another sale -will re i?H> on Wednesday, at 19S, Onepu road, Lyall Bay, when the "whole contents of Mrs, C. J. Ward's home will be offered.